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DWAS - ETF AI Analysis

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DWAS

Invesco DWA SmallCap Momentum ETF (DWAS)

Rating:62Neutral
Price Target:
DWAS, the Invesco DWA SmallCap Momentum ETF, has a solid overall rating that reflects a mix of strong small-cap momentum names alongside some higher-risk holdings. Strong contributors like Sezzle, Enova International, Bel Fuse, and MYR Group support the fund’s quality through solid financial performance, positive earnings sentiment, and bullish technical trends, even if some face valuation concerns. However, weaker, high-risk biotech names such as Erasca, Agilon Health, and Climb Bio, which struggle with losses and bearish trends, add volatility and are the main risk factor for the ETF.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered strong gains so far this year, showing that its momentum strategy has recently worked well.
Momentum in Top Holdings
Several of the largest positions have shown strong performance this year, helping support the fund’s overall returns.
Broad Sector Diversification
The fund spreads its investments across many sectors, which can help reduce the impact if any single industry struggles.
Negative Factors
Higher Expense Ratio
The ETF charges a relatively high fee compared with many index funds, which can slightly reduce long-term returns.
Short-Term Performance Weakness
Recent one-month performance has been weak, suggesting that the fund’s momentum strategy can be sensitive to short-term market swings.
Heavy U.S. Small-Cap Focus
With almost all assets in U.S. small-cap stocks, investors face higher volatility and limited international diversification.

DWAS vs. SPDR S&P 500 ETF (SPY)

DWAS Summary

The Invesco DWA SmallCap Momentum ETF (DWAS) is a fund that tracks the Dorsey Wright SmallCap Technical Leaders Index, focusing on smaller U.S. companies whose stock prices have been rising strongly. It spreads investments across many areas like health care, technology, and industrials, with holdings such as Agilon Health and Amneal Pharmaceuticals. Someone might invest in DWAS to seek higher growth by targeting small companies with strong recent performance and to diversify beyond large, well-known stocks. However, small-cap momentum stocks can be very volatile, so the price of this ETF can move up and down sharply.
How much will it cost me?The Invesco DWA SmallCap Momentum ETF (DWAS) has an expense ratio of 0.6%, meaning you’ll pay $6 per year for every $1,000 invested. This is higher than average because the fund is actively managed, focusing on small-cap stocks with strong momentum, which requires more research and management compared to passively managed ETFs. It’s designed for investors seeking growth opportunities in dynamic, smaller companies.
What would affect this ETF?The DWAS ETF, focused on U.S. small-cap stocks with strong momentum, could benefit from economic growth and innovation in sectors like Health Care and Technology, which make up a significant portion of its holdings. However, it may face challenges during periods of economic uncertainty or rising interest rates, which can negatively impact small-cap companies and momentum-driven strategies. Regulatory changes or sector-specific headwinds could also influence the performance of its top holdings.

DWAS Top 10 Holdings

DWAS is leaning hard into U.S. small-cap momentum, with a clear tilt toward health care and tech names that give the fund a high-octane feel. Sezzle and SanDisk are doing the heavy lifting, with both stocks rising and acting like the fund’s main engines. Tango Therapeutics and TTM Technologies are also climbing, adding extra fuel from biotech and electronics. On the flip side, Kodiak Sciences and Lumentum look more mixed, occasionally losing steam and reminding investors that this small-cap ride can be bumpy even when the overall trend is up.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Sezzle Inc.1.95%$8.93M$6.03B33.30%
80
Outperform
Erasca1.70%$7.78M$6.73B1053.57%
34
Underperform
Agilon Health1.65%$7.53M$2.10B130.79%
42
Neutral
Bel Fuse Inc1.34%$6.11M$3.91B165.58%
73
Outperform
Tango Therapeutics1.33%$6.07M$4.72B334.43%
59
Neutral
Frequency Electronics1.30%$5.94M$788.08M180.36%
76
Outperform
Enova International1.28%$5.85M$5.69B100.14%
71
Outperform
Graham1.23%$5.63M$1.27B104.03%
69
Neutral
Aehr Test Systems1.12%$5.11M$3.21B321.73%
55
Neutral
Amneal Pharmaceuticals1.11%$5.08M$5.78B127.39%
58
Neutral

DWAS Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
117.35
Positive
100DMA
110.78
Positive
200DMA
104.11
Positive
Market Momentum
MACD
-0.22
Positive
RSI
48.35
Neutral
STOCH
55.31
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For DWAS, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 120.09, equal to the 50-day MA of 117.35, and equal to the 200-day MA of 104.11, indicating a neutral trend. The MACD of -0.22 indicates Positive momentum. The RSI at 48.35 is Neutral, neither overbought nor oversold. The STOCH value of 55.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DWAS.

DWAS Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$456.86M0.60%
62
Neutral
$879.32M0.48%
72
Outperform
$720.29M0.38%
67
Neutral
$717.14M0.42%
68
Neutral
$700.02M0.09%
63
Neutral
$695.80M0.40%
70
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DWAS
Invesco DWA SmallCap Momentum ETF
116.24
31.45
37.09%
OUSM
OShares U.S. Small-Cap Quality Dividend ETF
EES
WisdomTree U.S. SmallCap Fund
JHSC
John Hancock Multifactor Small Cap ETF
BBSC
JPMorgan BetaBuilders U.S. Small Cap Equity ETF
SMDV
ProShares Russell 2000 Dividend Growers ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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